Output, Y

Real interest rate, r

IS-LM

The Aggregate Demand Curve

Price Level, P

Output, Y

IS

Government Purchase

k = -2 (slider from -2 to 0.8, step 0.05)
e = 0 (slider from -2 to 0, step 0.05)
A = Intersect(xAxis, yAxis)
B = Point(xAxis)
a = Segment(A, B)
C = Point(yAxis)
b = Segment(C, A)
D = Point(yAxis)
E = Point(yAxis)
c = Segment(D, E)
F = (8, -9)
d = Segment(E, F)
g = If(1.5 - e < x < 4.5 - e, (x + e)^(1.2) + e / 3)
f = If(2.5 + k < x < 7 + k, 10 * (x - k)^(-0.8))
G = Intersect(f, g, (2.4996568917217385, 3.0023165527156244))
H: (0, y(G))
I: (x(G), 0)
h = Segment(H, G)
J: (x(G), -4 + e)
p: 140 + 20 * e
K: (x(J), y(F))
L: (0, y(J))
i = Segment(G, K)
j = Segment(L, J)
t: x(I) * 400 / 1.68 + 1000 - 3.16 * 400 / 1.68
text1: "Y=" + t + ""
text2: "LM (P=" + p + ")"
s: 2 * y(H) - 2
text3: "" + s + "%"
text6: "(" + t + "," + p + ")"
text7: "" + p + ""
text8: "Y=" + t + ""
text13: "Level of Price-" + p + ""
N: (x(G) + 1.5, f(x(G + 1.5)))
O: (x(G) + 3, f(x(G) + 3))
M: (x(G) + 4 + k, g(x(G) + 4 + k))